Babaji Date Mahila Sahakari Bank Ltd., Yavatmal, Maharashtra

RBI cancelled the licence of Babaji Date Mahila Sahakari Bank Limited, Yavatmal, Maharashtra. The bank must cease banking business immediately and liquidation proceedings were requested.

The bank can no longer accept deposits, repay deposits, or carry on banking operations. Its depositors are affected by the winding-up process and may rely on DICGC insurance, subject to statutory limits and eligibility, while a liquidator is to be appointed for the bank.

• Section 11(1) of the Banking Regulation Act, 1949
• Section 22(3)(d) read with Section 56 of the Banking Regulation Act, 1949
• Sections 22(3)(a), 22(3)(b), 22(3)(c), 22(3)(d) and 22(3)(e) read with Section 56 of the Banking Regulation Act, 1949

+2 more in the case brief

RBI extended its existing directions on Babaji Date Mahila Sahakari Bank Limited, Yavatmal, for another three months. The bank remains under restrictions while it continues banking business.

Babaji Date Mahila Sahakari Bank must continue operating under RBI-imposed restrictions through February 8, 2023, unless further modified or reviewed. Customers and counterparties remain subject to the bank’s constrained operating framework, but the bank is not said to be closed or have its licence cancelled.

• Section 35 A
• Section 56 of the Banking Regulation Act, 1949

RBI extended the existing Section 35A directions on Babaji Date Mahila Sahakari Bank Limited for another three months. The bank can continue banking business only with restrictions.

The bank remains under RBI-imposed operational restrictions for the extended period through November 8, 2022, subject to review. It can continue business only within the limits of the existing directions; depositors and other counterparties remain affected by those restrictions, but the bank is not being wound up or licensed cancelled by this release.

• Section 35A of the Banking Regulation Act, 1949
• Section 56 of the Banking Regulation Act, 1949
• sub-section (1) of Section 35 A read with Section 56 of the Banking Regulation Act, 1949 (AACS)

RBI extended its existing restrictions on Babaji Date Mahila Sahakari Bank Ltd., Yavatmal, Maharashtra. The bank remains subject to caps on withdrawal and acceptance of deposits until August 08, 2022.

The bank must continue operating under RBI-imposed restrictions, including limits on withdrawals and acceptance of deposits, through August 08, 2022 unless modified earlier by RBI. Depositors and customers remain affected by the caps and any operational constraints tied to the directions.

• Section 35 A read with Section 56 of the Banking Regulation Act, 1949
• sub-section (1) of Section 35 A read with Section 56 of the Banking Regulation Act, 1949 (AACS)

RBI placed Babaji Date Mahila Sahakari Bank Ltd., Yavatmal under Section 35A restrictions. The bank faces limits on lending, deposits, payments, and asset disposal, with only limited withdrawals permitted.

The bank must operate under RBI-imposed restrictions until the directions expire, are modified, or are reviewed by RBI. Depositors face withdrawal caps, and the bank cannot freely expand lending, raise liabilities, or dispose of assets without prior approval. Borrowers and other counterparties are affected because routine disbursements, renewals, and settlements are constrained.

• Section 35 A of the Banking Regulation Act, 1949
• Section 56 of the Banking Regulation Act, 1949

RBI imposed a ₹5 lakh monetary penalty on Babaji Date Mahila Sahakari Bank Limited, Yavatmal. The action was for non-compliance with RBI directions on IRAC, KYC, and fraud reporting.

The bank must absorb the monetary penalty; the release does not announce any additional operating restriction or customer-facing prohibition. The action serves as a regulatory reprimand for compliance failures relating to asset classification, KYC, and fraud reporting.

• Section 47A(1)(c)
• Section 46(4)(i)
• Section 56 of the Banking Regulation Act, 1949